Postal Service™. ACTION
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This document is scheduled to be published in the Federal Register on 07/11/2013 and available online at http://federalregister.gov/a/2013-16524, and on FDsys.gov 7710-12 POSTAL SERVICE 39 CFR Part 111 New Standards to Enhance Package Visibility AGENCY: Postal Service™. ACTION: Proposed rule. SUMMARY: The Postal Service is proposing to revise Mailing Standards of the United States Postal Service, Domestic Mail Manual (DMM®) to require the use of Intelligent Mail® package barcodes (IMpb) on all commercial parcels, and to require the transmission of supporting electronic documentation including piece- level address or ZIP+4® Code information effective January 2014. In January 2015 the complete destination delivery address or an 11-digit delivery point validated ZIP Code will be required in the electronic documentation. DATES: Submit comments on or before [insert date 21 days from date of publication in the Federal Register]. ADDRESSES: Mail or deliver written comments to the manager, Product Classification, U.S. Postal Service, 475 L'Enfant Plaza SW, Room 4446, Washington, DC 20260-5015. You may inspect and photocopy all written comments at USPS® Headquarters Library, 475 L'Enfant Plaza SW, 11th Floor North, Washington, D.C., by appointment only, between 9 a.m. and 4 p.m., Monday through Friday by calling 1-202-268-2906 in advance. Email comments, containing the name and address of the commenter, may be sent to: 2 [email protected], with a subject line of "Package Visibility." Faxed comments are not accepted. FOR FURTHER INFORMATION CONTACT: Juliaann Hess at 202-268-7663 or Kevin Gunther at 202-268-7208. SUPPLEMENTARY INFORMATION: The Postal Service continues to enhance its operational capability to scan Intelligent Mail package barcodes (IMpb) and other extra services barcodes via automated processing equipment and Intelligent Mail scanning devices. Full implementation of the Postal Service’s package strategy relies on the availability of piece-level information provided through the widespread use of IMpb. IMpb can offer a number of benefits to mailers by providing piece-level visibility throughout USPS processing and delivery operations. Benefits of IMpb use include: • A routing code to facilitate the processing of packages on automated sorting equipment. • A channel-specific Application Identifier (AI) that associates the barcode to the payment method, supporting revenue assurance. • A 3-digit service type code, which will identify the exact mail class and service combination, eliminating the need for multiple barcodes on a package. • An option to use a 6-digit or 9-digit numeric Mailer ID (MID), to accommodate all mailers. 3 • The ability to nest packages to containers and sacks, increasing visibility for aggregate units as well as packages moving through the network. • Access to tracking information at no additional charge for most products. • Access to new products, services and enhanced features. Mailing standards recently added to the DMM now require an IMpb on all commercial parcels, except Standard Mail® parcels, claiming presort or destination-entry prices and all parcels of any class including tracking, and all mailpieces of any shape requesting extra services. The Postal Service will now advance its package strategy by proposing new standards requiring an IMpb on all remaining commercial parcels, and requiring the transmission of supporting electronic documentation, including piece-level address information, to the USPS. Advanced Notice The mailing industry was first provided notice of the intent of the Postal Service to require the mandatory use of IMpb on all domestic parcels via an advanced notice of proposed rulemaking, Federal Register notice (75 FR 56922- 56923) on September 17, 2010. In response to input from the mailing community, this broad requirement was narrowed to apply only to commercial parcels mailed at presort or destination-entry prices and to parcels bearing PC Postage®. On January 27, 2013, the Postal Service implemented this initial phase of its package strategy by requiring IMpb use, including use of version 1.6 of the electronic shipping services manifest, for all commercial parcels (except 4 Standard Mail parcels) claiming presort or destination-entry pricing and all mailpieces including a trackable extra service. On February 26, 2013, the Postal Service published a Federal Register notice (78 FR 13006-13007) in which it announced its intention to require an IMpb on all remaining commercial parcels. This notice also invited comments from the mailing industry and other interested individuals. The Postal Service received several comments in response to its advanced notice of proposed rulemaking, which are summarized later in this notice. General IMpb Requirements Technical and general specifications for IMpb use are provided in Publication 199, Intelligent Mail Package Barcode (IMpb) Implementation Guide for: Confirmation Services and Electronic Verification System (eVS) Mailers, and DMM 708.5.1. Mailing standards require mailings of mailpieces bearing an IMpb to: 1. Use a unique tracking barcode, prepared in accordance with DMM 708.5.1, on each mailpiece, 2. Be accompanied by a version 1.6 of the electronic Shipping Services File (or subsequent versions) including required data elements, and to 3. Include the correct destination delivery address or ZIP+4 code for each record in the Shipping Services File. The Postal Service now proposes to require an IMpb on all commercial parcels. For the purposes of this notice, commercial parcels are defined as any item meeting the physical description of a parcel in DMM 401, or an Express 5 Mail® or Priority Mail® piece of any shape, size, or price category entered through any commercial channel. This includes pieces with postage paid by permit imprint, postage meter, PC Postage or precanceled stamps, and would include pieces paying postage through the Official Mail Accounting System (OMAS) and franked mail. All parcels mailed at Commercial Base® or Commercial Plus® prices will also be required to bear an IMpb. However, parcels paid at the retail price and inducted through a retail transaction, Periodicals parcels, and Standard Mail Marketing parcels sent as product samples that bear a simplified address or those that use a detached address label (DAL) would not be required to bear an IMpb. The Postal Service proposes to allow, with USPS approval, domestic Priority Mail flats that are prepared in a high-speed environment to use an Intelligent Mail barcode (IMb™) in lieu of an IMpb provided each of these pieces bear a unique IMb, that cannot be reused for 180 days, and are supported by Mail.dat or Mail.XML electronic documentation. Mailers should note that mailpieces entered under this authorization must not include any extra service, including USPS Tracking™/Delivery Confirmation. In addition, effective July 28, 2013, the Postal Service plans to include, at no additional charge, automatic insurance coverage on domestic Priority Mail pieces bearing an IMpb. Mailers should also note that Priority Mail pieces entered under this exception will not be eligible for automatic insurance coverage. The authorization to use an IMb instead of an IMpb would not be applicable for Priority Mail International™ pieces or domestic Express Mail or Express Mail International® pieces. 6 At a future date, the Postal Service expects to implement an exception process for Bound Printed Matter (BPM) parcels and Priority Mail that would allow mailers to use Mail.dat instead of Shipping Services File version 1.6 or higher. This exception process will be tied to the scheduled upgrades to USPS systems that will allow for this functionality. These upgrades are expected to be completed by October 2013 for Bound Printed Matter and in January 2014 for Priority Mail. Once implemented, parcel mailers using Mail.dat may use this file format to submit electronic documentation to the Postal Service to fulfill their IMpb documentation requirements. The use of Mail.dat will not be authorized when mailers ship products and services that exclusively require use of Shipping Services file version 1.6 or higher. Although it is expected that the anticipated delay in implementation until January 26, 2014 should eliminate the need for most exceptions, the Postal Service expects to provide limited exceptions to the basic IMpb requirements. Requests for exceptions will be evaluated on a case-by-case basis. Mailers requesting an exception must provide a plan to assure compliance with standards within a defined timeframe. Beginning on January 26, 2014, any such requests must be directed to the Vice President of Sales for consideration. Destination Delivery Addresses The Postal Service now recognizes the need for all parcels to be accompanied by a complete destination delivery address. This information will be a critical element in future plans to implement dynamic routing strategies with USPS delivery operations. As a result, the Postal Service proposes to require 7 mailers, effective January 25, 2015 to include the complete destination delivery address (as described in DMM 601.1.4) or an 11-digit ZIP Code (validated by the USPS delivery point validation (DPV®) system, or an approved equivalent) in their Shipping Services file, or other approved electronic documentation. Returns The Postal Service proposes to require a unique IMpb on all parcels using a Merchandise Return Service (MRS) label. The USPS currently provides a cloud-based application that would allow less sophisticated permit holders